Corrective Action Plans

Finding 1206223 (2025-003)

Material Weakness 2025

PA

Internal Control / Segregation of Duties HUD Housing Programs School Nutrition Programs

Management's Response: The School District recognizes that the limited number of staff adds to the risk associated with the daily operations. To mitigate this risk, the Business Manager has to take an active role in the day-to-day operations of the Business Unit. She actively reviews all reconciliat...

Management's Response: The School District recognizes that the limited number of staff adds to the risk associated with the daily operations. To mitigate this risk, the Business Manager has to take an active role in the day-to-day operations of the Business Unit. She actively reviews all reconciliations and receipts to ensure they are posted to the accounting system properly. In addition, she approves all check disbursements and is reviewing the general ledger on a consistent basis.

View Audit 398189

Finding 1206212 (2025-001)

Material Weakness 2025

The Pavilion Housing Development Fund Corporation

NY

Questioned Costs Cash Management HUD Housing Programs

Name of auditee: The Pavilion Housing Development Fund Corporation HUD auditee identification number: 012-EE247 Name of audit firm: WithumSmith+Brown, PC Period covered by the audit: Year Ended September 30, 2025 CAP prepared by: Name: Father Ronald Giannone Position: Executive Director Telephone: 6...

Name of auditee: The Pavilion Housing Development Fund Corporation HUD auditee identification number: 012-EE247 Name of audit firm: WithumSmith+Brown, PC Period covered by the audit: Year Ended September 30, 2025 CAP prepared by: Name: Father Ronald Giannone Position: Executive Director Telephone: 646-996-4234 1. Current Findings on the Schedule of Findings, and Questioned Costs a. Finding 2025-001. Special Tests and Provisions – Project Funds. i. Comments on the Finding and Each Recommendation: Management concurs with the finding and the auditor’s recommendation to utilize an interest-bearing account for project funds. ii. Actions Taken on the Finding: Management is in the process of evaluating the recommendation to determine that appropriate course of action. 2. Status of Corrective Actions on Findings Reported in the Prior Audit Schedule of Findings, and Questioned Costs. Finding 2024-001 - cleared. Delinquent deposits in the aggregated amount of $18,715 were funded in 2025.

View Audit 398176

Finding 1206123 (2025-002)

Material Weakness 2025

Housing Authority of the City of Terre Haute

IN

HUD Housing Programs Questioned Costs Special Tests & Provisions

Authority's Response and Planned Corrective Action: The Authority acknowledges the deficiencies identified in the Section 8 Housing Choice Vouchers program and will implement internal control procedures to ensure compliance with federal regulations. Jeff Stewart, Executive Director, is responsible f...

Authority's Response and Planned Corrective Action: The Authority acknowledges the deficiencies identified in the Section 8 Housing Choice Vouchers program and will implement internal control procedures to ensure compliance with federal regulations. Jeff Stewart, Executive Director, is responsible for implementing this corrective action by September 30, 2026.

View Audit 398091

Finding 1206106 (2025-001)

Material Weakness 2025

The Cottage Real Estate, LLC

OH

HUD Housing Programs

Condition: The Corporation did not deposit the December 31, 2024 surplus cash amount of $16,943 within 90 days of the calculation, as stated in Chapter 3 of the HUD Audit Guide. Planned Corrective Action: Management acknowledges noncompliance in the current fiscal year and plans to take measures to ...

Condition: The Corporation did not deposit the December 31, 2024 surplus cash amount of $16,943 within 90 days of the calculation, as stated in Chapter 3 of the HUD Audit Guide. Planned Corrective Action: Management acknowledges noncompliance in the current fiscal year and plans to take measures to improve internal controls over compliance. Management deposited the December 31, 2024 surplus cash amount of $16,943 on December 30, 2025. Contact person responsible for corrective action: Tanya Hahn, CFO Anticipated Completion Date: December 30, 2025

View Audit 398062

Finding 1206085 (2025-001)

Material Weakness 2025

Paschall Senior Housing, Inc.

CA

Questioned Costs Subrecipient Monitoring HUD Housing Programs

Finding 2025-001: Comments on the Finding and Each Recommendation During the year ended December 31, 2025 and 2024, the Corporation withdrew funds totaling $726 and $5,562, respectively, from the reserve for replacements account without receiving approval from HUD. Management should transfer funds o...

Finding 2025-001: Comments on the Finding and Each Recommendation During the year ended December 31, 2025 and 2024, the Corporation withdrew funds totaling $726 and $5,562, respectively, from the reserve for replacements account without receiving approval from HUD. Management should transfer funds of $6,288 from the operating cash account to the reserve for replacements account. Action(s) taken or planned on the finding Management concurs with the finding and the auditor's recommendation and on March 3, 2026 transferred $6,288 from the operating cash account to the reserve for replacements account.

View Audit 398013

Finding 1206083 (2025-001)

Material Weakness 2025

Germanown Interfaith Housing, Inc.

CA

Questioned Costs Subrecipient Monitoring HUD Housing Programs

Comments on the Finding and Each Recommendation All the required monthly reserve for replacements deposits were not made during the year ended December 31, 2025. Management should transfer $1,483 into the reserve for replacements account from the operating cash account as soon as possible. Action(s)...

Comments on the Finding and Each Recommendation All the required monthly reserve for replacements deposits were not made during the year ended December 31, 2025. Management should transfer $1,483 into the reserve for replacements account from the operating cash account as soon as possible. Action(s) taken or planned on the finding Management concurs with the finding and agrees with the recommendation and will transfer $1,483 from the operating cash account to the reserve for replacements account.

View Audit 398009

Finding 1206068 (2025-001)

Material Weakness 2025

The Towers LLC

MN

HUD Housing Programs Questioned Costs

2025-001 - Management Fees Name of contact person - Vicky Dwyer, CFO, Great Lakes Management Company Corrective action - Management began the process of requesting these changes from HUD prior to when the changes went into effect, working through the mortgage company. However, due to turnover at the...

2025-001 - Management Fees Name of contact person - Vicky Dwyer, CFO, Great Lakes Management Company Corrective action - Management began the process of requesting these changes from HUD prior to when the changes went into effect, working through the mortgage company. However, due to turnover at the mortgage company, the request for approval by HUD was never sent to HUD. As a result, management is now currently in the process of working with HUD, the mortgage company, and ownership’s lawyer to obtain all necessary approvals. Proposed completion date - Management has put in the necessary requests with HUD and the mortgage company to receive the necessary approvals, and the finding will be corrected once HUD has issued its approval or other response to management.

View Audit 397951

Finding 1206067 (2025-001)

Material Weakness 2025

Terraces Assisted Living INC

MN

HUD Housing Programs Questioned Costs Material Weakness

2025-001 - Management Fees Name of contact person - Vicky Dwyer, CFO, Great Lakes Management Company Corrective action - Management began the process of requesting these changes from HUD prior to when the changes went into effect, working through the mortgage company. However, due to turnover at the...

2025-001 - Management Fees Name of contact person - Vicky Dwyer, CFO, Great Lakes Management Company Corrective action - Management began the process of requesting these changes from HUD prior to when the changes went into effect, working through the mortgage company. However, due to turnover at the mortgage company, the request for approval by HUD was never sent to HUD. As a result, management is now currently in the process of working with HUD, the mortgage company, and ownership’s lawyer to obtain all necessary approvals. Proposed completion date - Management has put in the necessary requests with HUD and the mortgage company to receive the necessary approvals, and the finding will be corrected once HUD has issued its approval or other response to Management.

View Audit 397950

Finding 1206053 (2025-001)

Material Weakness 2025

Lasalle Park Homes Ii, Inc. 073-Ee100-Np-Wah

IN

Questioned Costs Subrecipient Monitoring HUD Housing Programs

Finding 2025-001: Management fees of $6,012 were prepaid at December 31, 2025. Comments on the Finding and Each Recommendation: The Agent should reimburse $6,012 to the Community. Action(s) taken or planned on the finding: Agree. During the year ended December 31, 2026, the Agent will reimburse $6,0...

Finding 2025-001: Management fees of $6,012 were prepaid at December 31, 2025. Comments on the Finding and Each Recommendation: The Agent should reimburse $6,012 to the Community. Action(s) taken or planned on the finding: Agree. During the year ended December 31, 2026, the Agent will reimburse $6,012 to the Community.

View Audit 397927

Finding 1206051 (2025-002)

Material Weakness 2025

Redeemer Housing Association, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corpor...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation’s managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, VP of Finance Anticipated Completion Date: July 10, 2025

View Audit 397921

Finding 1206050 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association of Indiana Iv, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corpor...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation’s managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance. Anticipated Completion Date: February 27, 2025

View Audit 397918

Finding 1206049 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association Ii, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporatio...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation's managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance Anticipated Completion Date: April 10, 2025

View Audit 397915

Finding 1206048 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association of Indiana Iii, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporatio...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation's managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance Anticipated Completion Date: July 3, 2025

View Audit 397903

Finding 1206041 (2025-001)

Material Weakness 2025

Monte Vista Community Center Housing Authority, Inc.

CO

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.303

Finding 2025-001: Rural Rental Housing Loans Assistance Listing Number: 10.415 U.S. Department of Agriculture (Repeat of Finding 2024-001) Compliance Requirement: Eligibility, Program Income Type of finding: Internal Control Over Compliance (significant deficiency) Recommendation: The Organization s...

Finding 2025-001: Rural Rental Housing Loans Assistance Listing Number: 10.415 U.S. Department of Agriculture (Repeat of Finding 2024-001) Compliance Requirement: Eligibility, Program Income Type of finding: Internal Control Over Compliance (significant deficiency) Recommendation: The Organization should strengthen its internal controls with adopted policies and procedures to ensure a review process is established through adequate segregation of duties. The Organization should consider assessing and realigning the duties and responsibilities of the Executive Director, Administrative Assistant, and Alamosa Property Manager to provide for a review process of tenant eligibility determinations and the monthly housing assistance payment requests for the Sierra Vista Alamosa Housing Complex. Action Taken: This finding was from the actions of the pervious on-site manager, concerning the Alamosa Complex only. Sierra Vista/Alamosa Complex has already implemented the internal control concerning compliance in house. Priscilla and Alonzo will make sure that all internal compliance issues are segregated and check by at least 2 persons in the office, and if needed, the Executive Director can request viewing of internal control procedures as well. Alonzo and Priscilla prepare and review along with signatures of the review and approval dates of internal affairs. "This institution is an equal opportunity provider." If there are questions regarding this plan, please call the responsible party at (719)852-5505. Sincerely yours, Corinna Garcia Executive Director Monte Vista Community Center Housing Authority, Inc.

View Audit 397889

Finding 1206034 (2025-001)

Material Weakness 2025

Silver Lake Housing, Inc.

TX

Questioned Costs Cash Management HUD Housing Programs

Condition: The tenant security deposit cash account was insufficient to cover the tenant security deposit liability. - Response: The reserve for replacement has ample funds to request reimbursements of qualified expenditures and Management plans to make a sizable request for funds in April 2026. If ...

Condition: The tenant security deposit cash account was insufficient to cover the tenant security deposit liability. - Response: The reserve for replacement has ample funds to request reimbursements of qualified expenditures and Management plans to make a sizable request for funds in April 2026. If approved, management can fund the deficiency in the security deposits. Management is also going to request a Budget Based Rent increase in May 2026 for the property due to the extraordinary escalation of operating costs of the last three years. Management believes that with these steps it will be able to return to its previous cash flow position.

View Audit 397875

Finding 1206031 (2025-003)

Material Weakness 2025

Barren County Economic Authority

KY

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303 § 200.327

2025-003 PREVAILING WAGE U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted the...

2025-003 PREVAILING WAGE U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted the Authority did not notify contractors that Federal funds would be in payments. As such, contractors did not include federal prevailing wage language in their bids/contracts, and did not provide weekly certified payroll reports to the Authority. Cause: Management was unaware of the requirements of prevailing wage for federal construction grants, and as such, did not communicate to contractors that federal funds would be utilized. Effect: The Authority was not in compliance with the grant requirements in the OMB Compliance Supplement over prevailing wage requirements for laborers and mechanics. Questioned Costs: Unable to determine. Recommendation: We recommend management obtain a greater understanding of the Compliance Supplement requirements over HUD grants, and implement a review process whereby contracts and invoices are not approved without appropriate prevailing wage consideration and certified payrolls. Action Taken: The Authority will gain a greater understanding of HUD grants, and will implement a review process to ensure prevailing wage requirements are considered prior to approving contracts and invoices. Individual(s) responsible for implementing: Maureen Carpenter, CEO Anticipated Completion Date: September 30, 2026

View Audit 397853

Finding 1205934 (2025-001)

Material Weakness 2025

Christian Housing Cottonwood, Inc.

AZ

Internal Control / Segregation of Duties Eligibility HUD Housing Programs § 200.303

We recommend Christian Care management strengthen internal controls and oversight over the rental assistance calculations and tenant eligibility documentation to ensure accuracy of all assistance payments.

View Audit 397794

Finding 1205928 (2025-002)

Material Weakness 2025

Accessible Residences, Inc. 113-Hd003

TX

HUD Housing Programs Allowable Costs / Cost Principles Cash Management

Special Tests – Significant Deficiency in Internal Controls over Compliance (Utility Allocation – Section 811 Program) Management Response Management acknowledges that utility allocation errors occurred in a limited number of instances due to a miscalculation in the allocation spreadsheet. Specifica...

Special Tests – Significant Deficiency in Internal Controls over Compliance (Utility Allocation – Section 811 Program) Management Response Management acknowledges that utility allocation errors occurred in a limited number of instances due to a miscalculation in the allocation spreadsheet. Specifically, utility expenses were allocated among four tenants instead of five occupied tenants, resulting in an overallocation of utility costs to certain residents. The error was due to an input/calculation issue within the allocation spreadsheet and not a deficiency in the underlying allocation methodology. The organization’s documented utility allocation policy requires that total utility costs be allocated equally among occupied tenants, which is consistent with HUD requirements. Management has evaluated the exceptions identified and determined that the issue was isolated to specific instances of spreadsheet error rather than a systemic failure of the allocation methodology. Corrective Actions Implemented / To Be Implemented • The utility allocation spreadsheet will be corrected to ensure that the total number of occupied tenants is accurately reflected in the allocation calculation. • A two-level review control will be implemented over utility allocations. The Leasing Assistant/Clerk will prepare the allocation, and the Leasing Manager will independently verify accuracy prior to finalization. • Verification will include tenant count validation to the rent roll or occupancy report, recalculation of the per-tenant allocation, and confirmation that total allocations agree to the original utility invoice. • Allocation schedules will be supported by rent roll or occupancy documentation. • A standardized checklist will be implemented for monthly allocation procedures. • Any identified allocation errors will be promptly corrected to ensure tenants are not overcharged. Training Training on utility allocation procedures will be conducted by May 1, 2026, for leasing staff and management, with annual refresher training. Responsible Staff: Leasing Assistant/Clerk – Preparation Leasing Manager – Review and verification Controller – Oversight Chief Executive Officer (CEO) – Final accountability Implementation Date: Corrective actions are being implemented immediately upon identification of the finding. Ongoing monitoring will occur monthly.

View Audit 397748

Finding 1205927 (2025-001)

Material Weakness 2025

Accessible Residences, Inc. 113-Hd003

TX

Internal Control / Segregation of Duties Questioned Costs Special Tests & Provisions

Special Tests and Provisions – Material Weakness in Internal Controls over Compliance (Replacement Reserve Disbursement – HUD Approval Requirement) Management Response Management acknowledges that a disbursement of $15,000 was made from the replacement reserve account without obtaining prior written...

Special Tests and Provisions – Material Weakness in Internal Controls over Compliance (Replacement Reserve Disbursement – HUD Approval Requirement) Management Response Management acknowledges that a disbursement of $15,000 was made from the replacement reserve account without obtaining prior written approval from HUD, as required under the Capital Advance Regulatory Agreement. Management recognizes that appropriate controls were not in place to prevent disbursement of restricted reserve funds without required approval, resulting in noncompliance. Management has initiated communication with HUD to disclose the transaction and request guidance on the appropriate resolution. The organization will comply with all directives issued by HUD and will continue to follow up as necessary to ensure timely resolution. Corrective Actions Implemented / To Be Implemented • A formal control will be implemented requiring documented written HUD approval prior to any disbursement from the replacement reserve account. • All reserve disbursements will require documented HUD approval prior to processing and will be subject to Controller review to ensure compliance with HUD requirements. • Replacement reserve accounts will be formally designated as restricted funds within internal financial procedures. • A formal policy governing replacement reserve disbursements will be established. • Alternative funding sources will be used when HUD approval is not available. • Training will be provided to relevant staff on HUD requirements and reserve controls.Training Training on reserve account procedures will be conducted by May 1, 2026, with refresher training annually. Responsible Staff: Controller – Oversight of compliance Chief Executive Officer (CEO) – Final accountability Implementation Date: Corrective actions related to implementation of review controls will be implemented immediately. Resolution will follow HUD guidance.

View Audit 397748

Finding 1205904 (2025-001)

Material Weakness 2025

Community Connections, Inc. and Affiliate

DC

HUD Housing Programs Internal Control / Segregation of Duties § 200.303

Finding Reference Number: 2025-001 – Significant Deficiency in Internal Control Over Compliance and Non-Material Non-Compliance Finding: One instance where a unit failed its inspection and re-inspection was not performed or scheduled within the required timeframe. The Organization also failed to aba...

Finding Reference Number: 2025-001 – Significant Deficiency in Internal Control Over Compliance and Non-Material Non-Compliance Finding: One instance where a unit failed its inspection and re-inspection was not performed or scheduled within the required timeframe. The Organization also failed to abate the housing assist payments (HAP) or terminate the HAP contract for this unit in a timely manner. Additionally, for this unit the inspection was not performed on the required biennial basis. Planned Corrective Action: The housing team utilizes Yardi to manage the housing program. The team has been using the software to schedule inspections. Through their internal review, the team confirmed Yardi's reporting capabilities within the system were not being fully utilized to monitor overdue reinspections or trigger abatement actions. This gap contributed to the oversight cited in the audit finding. A retraining on Yardi is being scheduled for April 2026 to ensure the full reporting capabilities within the system will be utilized to ensure proper monitoring of overdue inspections. In addition, there are adequate policies and procedures in place to ensure inspection and reinspection of units, but we will revise current policy to strengthen this area. Anticipated Completion Date: Ongoing with a completion date of April 30, 2026. Name(s) of the Contact Person(s) Responsible for Corrective Action: Ronald Walker, CPA, Vice President, Finance, 202-893-9907, ronald.walker@ccdc1.org Sanique Lyn, MPH, AVP-Clinical Housing, 202-870-5090, slyn@ccdc1.org

View Audit 397707

Finding 1205807 (2025-001)

Material Weakness 2025

Cleveland Supported Housing INC

TX

Questioned Costs HUD Housing Programs Reporting

Audit Finding 2025-001: Management fees for the year ended December 31, 2025 were paid in excess of the monthly per unit per month cap. - Management miscalculated the management fees for the year ended December 31, 2025, and hence, fees were paid in excess of the cap by $4,452. A receivable was reco...

Audit Finding 2025-001: Management fees for the year ended December 31, 2025 were paid in excess of the monthly per unit per month cap. - Management miscalculated the management fees for the year ended December 31, 2025, and hence, fees were paid in excess of the cap by $4,452. A receivable was recorded for the overpaid management fees at December 31, 2025. The excess fees were refunded to the Project on March 12, 2026. - Name and Title of contact person responsible for corrective action: -Steve Colella, Making a Difference in Property Management, LLC - Management Agent - 6800 Park Ten Blvd, Ste 184-W - San Antonio, TX 78213

View Audit 397556

Finding 1205806 (2025-003)

Material Weakness 2025

Independence Communities INC

TX

HUD Housing Programs

During the year ended December 31, 2025, four tenant move-out files of former tenants could not be located by the staff and management at the Project site. - Management asserts that this was a one-time incident where the previous community director, at the time of leaving, may have inadvertently des...

During the year ended December 31, 2025, four tenant move-out files of former tenants could not be located by the staff and management at the Project site. - Management asserts that this was a one-time incident where the previous community director, at the time of leaving, may have inadvertently destroyed or misplaced the files for the tenants who had moved out.

View Audit 397551

Finding 1205805 (2025-002)

Material Weakness 2025

Independence Communities INC

TX

Questioned Costs HUD Housing Programs Reporting

Management fees for the year ended December 31, 2025 were paid in excess of the monthly per unit per month cap. - Management miscalculated the management fees for the year ended December 31, 2025, and hence, fees were paid in excess of the cap by $2,629. A receivable was recorded for the overpaid ma...

Management fees for the year ended December 31, 2025 were paid in excess of the monthly per unit per month cap. - Management miscalculated the management fees for the year ended December 31, 2025, and hence, fees were paid in excess of the cap by $2,629. A receivable was recorded for the overpaid management fees at December 31, 2025. The excess fees were refunded to the Project on March 13, 2026.

View Audit 397551

Finding 1205757 (2025-001)

Material Weakness 2025

Jubilee Senior Homes, Inc.

CA

HUD Housing Programs Procurement, Suspension & Debarment Cash Management

JUBILEE SENIOR HOMES INC 2220 OXFORD STREET BERKELEY, CALIFORNIA 94704 (510) 841-4410 CORRECTIVE ACTION PLAN March 31, 2026 Cognizant or Oversight Agency for Audit: Department of Housing and Urban Development Jubilee Senior Homes, Inc. respectfully submits the following corrective action plan for th...

JUBILEE SENIOR HOMES INC 2220 OXFORD STREET BERKELEY, CALIFORNIA 94704 (510) 841-4410 CORRECTIVE ACTION PLAN March 31, 2026 Cognizant or Oversight Agency for Audit: Department of Housing and Urban Development Jubilee Senior Homes, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Lindquist von Husen & Joyce LLP 301 Howard Street, Suite 850 San Francisco, CA 94105 Audit period: July 1, 2024, to June 30, 2025 The findings from the June 30, 2025, schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS—FINANCIAL STATEMENT AUDIT None noted. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS 2025-001 Compliance over Timely Deposit of Annual Residual Receipts No. 14.157. Program –Section 202 Supportive Housing for Elderly Personal Significant Deficiency Jubilee should reevaluate its policies and procedures to ensure that required residual receipts deposits are made timely each year. Action Taken: This was an isolated incident for fiscal year ending 6/30/24. As soon as the oversight was realized, we took action to remedy it. In addition, we have updated our process to send out residual receipts deposits once we have a draft audit completed versus waiting until after the final audit to ensure deposits are made before the 9/30 deadline. If there are any changes post audit completion, they should be immaterial and would be deposited as soon as we have final numbers. This will ensure timely deposits. Confirmation of deposits are tracked and will be followed up on regularly to ensure we do not miss the residual receipts distributions from surplus cash in the future. If the Department of Housing and Urban Development has questions regarding this plan, please call Zelda Ryan, Corporate Controller, at (510) 841-4410 x304#. Sincerely, Eric Knecht, CFO Resources for Community Development

View Audit 397481

Finding 1205754 (2025-001)

Material Weakness 2025

3250 Sacramento Housing, Inc.

CA

HUD Housing Programs Procurement, Suspension & Debarment Cash Management

3250 SACRAMENTO HOUSING INC 2220 OXFORD STREET BERKELEY, CALIFORNIA 94704 (510) 841-4410 CORRECTIVE ACTION PLAN March 31, 2026 Cognizant or Oversight Agency for Audit: Department of Housing and Urban Development 3250 Sacramento Housing, Inc. respectfully submits the following corrective action plan ...

3250 SACRAMENTO HOUSING INC 2220 OXFORD STREET BERKELEY, CALIFORNIA 94704 (510) 841-4410 CORRECTIVE ACTION PLAN March 31, 2026 Cognizant or Oversight Agency for Audit: Department of Housing and Urban Development 3250 Sacramento Housing, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Lindquist von Husen & Joyce LLP 301 Howard Street, Suite 850 San Francisco, CA 94105 Audit period: July 1, 2024, to June 30, 2025 The findings from the June 30, 2025, schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS—FINANCIAL STATEMENT AUDIT None noted FINDINGS—FEDERAL AWARD PROGRAMS AUDITS 2025-001 Compliance over Timely Deposit of Annual Residual Receipts No. 14.157. Program –Section 202 Supportive Housing for Elderly Personal Significant Deficiency 3250 Sacramento Housing should reevaluate its policies and procedures to ensure that required residual receipts deposits are made timely each year. Action Taken: This was an isolated incident for fiscal year ending 6/30/24. As soon as the oversight was realized, we took action to remedy it. In addition, we have updated our process to send out residual receipts deposits once we have a draft audit completed versus waiting until after the final audit to ensure deposits are made before the 9/30 deadline. If there are any changes post audit completion, they should be immaterial and would be deposited as soon as we have final numbers. This will ensure timely deposits. Confirmation of deposits are tracked and will be followed up on regularly to ensure we do not miss the residual receipts distributions from surplus cash in the future. If the Department of Housing and Urban Development has questions regarding this plan, please call Zelda Ryan, Corporate Controller, at (510) 841-4410 x304#. Sincerely, Eric Knecht, CFO Resources for Community Development

View Audit 397480

Corrective Action Plans

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